FL Revolving Credit Endorsement Guideline 1
Explanation:This endorsement to the mortgagee policy insures that advances made within 20 years of the date of the policy will be included within the policy coverage provided the mortgagor or his successors in title did not file of record a notice pursuant to Section 697.04(1), Florida Statutes, to limit the amount that may be secured by the mortgage. The endorsement further insures the priority of the future advances except for the five matters set forth in the endorsement.
Underwriting Requirements:In order to give this coverage the insured mortgage must state that it secures not only existing indebtedness but also future advances and it must further state the maximum amount outstanding at one time that may be secured by the mortgage. The policy should be issued in the amount of the full line of credit - not the amount of the initial advance.
The underwriting guidelines contained herein have been provided for general reference. The facts, circumstances, and location of the subject property should be considered when determining the issuance of the requested form or endorsement. Please note that all of the forms and endorsements included in this system may not be available in all states. Accordingly, please contact the appropriate Stewart Title Guaranty Company underwriting personnel in order to determine availability.
Compliance with the underwriting guidelines contained herein in no way obligates Stewart Title Guaranty Company to issue any form or endorsement.
This guideline applies to the following form(s):